New Century chooses equity over Sprott debt

Emerging zinc producer New Century Resources (ASX: NCZ) had ditched plans to utilise debt for developing its major tailings reprocessing venture at Century in Queensland and instead will use the funds from a fully underwritten A$40 million (US$30 million) placement.

Michael Quinn

New Century chooses equity over Sprott debt

Emerging zinc producer New Century Resources (ASX: NCZ) had ditched plans to utilise debt for developing its major tailings reprocessing venture at Century in Queensland and instead will use the funds from a fully underwritten A$40 million (US$30 million) placement.

Michael Quinn

The company claims the placement - to be priced at A$1.15 per share and underwritten by Credit Suisse - gives it greater financial flexibility "given the restrictions on timing of the use of funds and other encumbrances required as part of a senior, secured debt facility with Sprott".